Derivative Financial Instruments

9 Months Ended

Sep. 30, 2014

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Derivative Financial Instruments

Derivative Financial Instruments

As part of our currency exchange rate risk management strategy, we may enter into certain derivative foreign currency forward contracts that do not meet the U.S. GAAP criteria for hedge accounting, but which have the impact of partially offsetting certain foreign currency exposures. We account for these forward contracts at fair value and report the related gains or losses in currency exchange gains or losses. The notional amount of open forward contracts was $60.9 million and $54.5 million, with an unrealized loss on these contracts of $0.6 million and an unrealized gain of $0.3 million at September 30, 2014 and 2013, respectively.

The following table presents the balance sheet location and fair value of assets associated with derivative financial instruments:

(In thousands)	September 30, 2014			December 31, 2013
Derivatives not designated as hedging instruments:
Foreign exchange contracts: Prepaid expenses and other current assets	$	(607	)	$	1,308

The following table presents the income statement location and impact of derivative financial instruments:

		Loss Recognized in Income
		Nine Months Ended September 30,
(In thousands)	Income Statement Location	2014		2013
Derivatives not designated as hedging instruments:
Foreign exchange contracts	Currency exchange losses, net	$	2,060	$	233